Part 8/12:
Market Opportunities Beyond Vehicles
Arc also sees substantial market opportunities beyond vehicle sales. Their projections include an $11–12 trillion ride-hailing industry—based on predicted consumer willingness to pay for autonomous taxis. Tesla’s integrated approach, combining hardware and software, positions it to capture a significant share of this burgeoning market.
Interestingly, Arc doesn’t incorporate Tesla's energy business or the developmental Dojo supercomputer into their valuation model for the next five years. They consider the energy storage sector less impactful in this period, focusing instead on core revenue streams like vehicle sales and autonomous ride-hailing.